Contents



Preface

The banking and finance industry plays a significant role in the economy of a nation. As such, it demands continuous research and up-to-date feeds for it to stay competitive and resilient. Due to its revolving and dynamic nature as well as its significance and interlinkages with other industries, a well-functioning banking and finance system is vital in safeguarding the interest of all stakeholders. The hard lessons and experiences learned from the financial crises of 1997/1998 and 2008/2009, as well as the recent COVID-19 pandemic, have instigated extensive postmortems and re-evaluations of the banking and financial system among related players in the field to improve and perhaps share and adopt best practices of every

Realizing the significant impacts of this industry, this book, Banking and Finance, highlights major issues related to banking and finance and puts forth recent empirical evidence, scientific research, best practices, and recommendations. This book discusses all major areas of banking and finance. With the wide range of topics highlighted and discussed, together with recent scientific research and findings using advanced econometrical approaches, this book not only enriches the literature but also offers policy implications that will benefit all players including

The book contains sixteen chapters by thirty-one authors divided into two sections.

In the banking section, Aysa Siddika and Razali Haron provide a concise overview of capital adequacy regulation and the importance and evolution of regulation. They further explain how several banking crises and banks' defaults motivated the Basel Committee on Banking Supervision (BCBS) to provide a comprehensive

Ellis Kofi Akwaa-Sekyi explores a qualitative self-regulation approach to address a major risk facing banks using the BCBS framework of internal controls. The chapter specifically examines the effect of the qualitative principles of the BCBS internal control framework on credit risk covering banks from selected EU countries. The author provides evidence on the significant relationship between board functions and activities, board structure and board monitoring, and credit risk and concludes that investment in high-risk assets, bank profitability, and the board chair being a

Naji Mansour Nomran and Razali Haron examine the impact of governance mechanisms on the performance of Islamic banks (IBs) in eighteen countries during the financial crisis of 2008. The study provides justifications on Shariah Supervisory Board effectiveness in improving IBs' performance even during the crisis periods. They conclude on the importance of IBs to adopt appropriate governance structures

academicians and practitioners in the field of banking and finance.

The first section discusses banking while the second covers finance.

aspect in the industry.

guideline in managing bank capital.

to sustain future performance.

former CEO increases credit risk in European banking.
